Feb 28 will be at the Marriott Reforma Hotel (Av. Paseo de la Reforma 276, Col. Juárez)
March 1will be at ANUIES (Tenayuca 200, Col. Santa Cruz Atoyac,) * Free to attend this day only but registration is required

Energy policy and the outlook for the sector has figured prominently from the moment Andres Manuel Lopez Obrador was elected president last July. Myriad proposals have now begun to take the form of policies to be implemented. Translating the concept of the fourth transformation and what it portends for the country’s energy sector is underway. The policy proposals and implementation strategies for achieving the goal of energy self-sufficiency outlined by the new administration is important to comprehend as the 100-day mark of the government approaches. As in most countries, when it comes to managing the energy sector the challenges are immense and the needs great. In Mexico’s case the country’s resource base provides ample room for optimism.

Oil & Gas

Not unlike several previous administrations, a critical challenge facing the new government is to recover Mexico’s declining oil production. The Lopez Obrador administration has set a goal of 2.4 million barrels of oil production a day by the end of the sexenio in 2024. The demands placed on Pemex to deliver on this goal are significant. But the first budget of the Lopez Obrador administration, approved in December, points to increased fiscal resources for the national oil company to address its longstanding production challenges. Furthermore, a stated desire to recover fuel self-sufficiency includes major investments in refining capabilities across the country.

Also significant has been the effort aimed at reducing theft and illegal taps, the so-called huachicoleo. By some estimates, fuel theft amounted to losses of around $8 billion at Pemex over the last two years. A 2017 analysis by Mexico’s energy regulator, CRE, indicated that between 2009 and 2016 there had been an illegal tap roughly every 1.4 Kilometers of Pemex’s 14,000 km pipeline network. This is clearly a crisis in need of a solution. Recent developments in the fuels market, arguably a result of more secure and more stringently monitored fuel distribution and logistics, have also emphasized the importance of boosting Mexico’s fuel storage capacity and more broadly the infrastructure to meet the nation’s growing fuel demand.

Electricity

The electricity sector has undergone a dramatic transformation and rapidly evolved into a cost-competitive marketplace that each day is incorporating more megawatts of clean power. The efforts to place hydropower at the core of its goals for boosting generation and meeting demand is important to further understand as are the role of other generation sources.

Speakers

Alfonso Durazo, Secretary of Security and Citizen Protection of the Government of Mexico

Continuing with the last day of our #LJC2020 to discuss #gas and #power update -pipelines, #power markets and #renewables moderated by @MontseRamiroX @vozexpertamx with @memo_z @LeoBeltranR, Juancho Eekhout @IEnova_MX and Gerardo Serrato from Hartree Partners #LJC2020